QE 1, 2 and 3 = Godfather 1, 2 and 3

The shortcomings of the Fed’s last bond-buying program, QE2, are becoming clearer every day as the economy sinks into a stupor that even the Fed now admits is not “transitory.”

But that isn’t stopping the stock bulls from clamoring for more stimulus from the central bank, even after Fed Chairman Ben Bernanke himself in recent months warned that a third quantitative easing program, dubbed obviously QE3, would likely produce diminished returns, and may not even be worth the trouble.

Since the market doesn’t seem to be listening, Gluskin Sheff’s chief economist, David Rosenberg, has come up with an analogy that everybody can understand.